FLYHT Aerospace Solutions Ltd. TSX.V: FLY

OTCQX: FLYLF

AGM May 2016

2May 2016

TSX.V: FLY

OTCQX: FLYLF

DisclaimerForward Looking Statements

This discussion includes certain statements that may be deemed “forward-looking statements” that are subject to risks and uncertainty. All statements, other than statements of historical facts included in this discussion, including, without limitation, those regarding the Company’s financial position, business strategy, projected costs, future plans, projected revenues, objectives of management for future operations, the Company’s ability to meet any repayment obligations, the use of non-GAAP financial measures, trends in the airline industry, the global financial outlook, expanding markets, research and development of next generation products and any government assistance in financing such developments, foreign exchange rate outlooks, new revenue streams and sales projections, cost increases as related to marketing, research and development (including AFIRS 228), administration expenses, and litigation matters, may be or include forward-looking statements. Although the Company believes the expectations expressed in such forward-looking statements are based on a number of reasonable assumptions regarding the Canadian, U.S., and global economic environments, local and foreign government policies/regulations and actions and assumptions made based upon discussions to date with the Company’s customers and advisers, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those in the forward-looking statements include production rates, timing for product deliveries and installations, Canadian, U.S., and foreign government activities, volatility of the aviation market for the Company’s products and services, factors that result in significant and prolonged disruption of air travel worldwide, U.S. military activity, market prices, foreign exchange rates, continued availability of capital and financing and general economic, market, or business conditions in the aviation industry, worldwide political stability or any effect those may have on our customer base. Investors are cautioned that any such statements are not guarantees of future performance and that actual results or developments may differ materially from those projected in the forward-looking statements.

Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, there can be no assurance that such expectations will prove to have been correct. The Company cannot assure investors that actual results will be consistent with any forward-looking statements; accordingly, readers should not place undue reliance on forward‑looking statements. The forward-looking statements contained herein are current only as of the date of this document. The Company disclaims any intentions or obligation to update or revise any forward-looking statements or comments as a result of any new information, future event or otherwise, unless such disclosure is required by law.

www.flyht.com

3May 2016

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OTCQX: FLYLF

Welcome – 2016 AGM

Presentations from: CEO, Thomas Schmutz CFO, Nola Heale VP Sales & Marketing, David Perez VP Operations & Customer Fulfillment,

Mat Plamondon

4May 2016

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OTCQX: FLYLF

Accomplishments Since Last AGM

• FLYHT’s CEO for almost six months

• Top two revenue quarters since my arrival

• Developing a rhythm for running the business

• 2015: three best revenue quarters in the company’s history - continues in 2016

• Cash burn improving - less cash used in operations

• Avmax: largest customer to date

5May 2016

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OTCQX: FLYLF

Accomplishments Since Last AGM Cont.

• Chinese market growing

• OEM license fee increasing, over $3m in 2015

• IP License Agreement

• CAN TSO Receipt

• Cloud-based UpTimeTM development

• Equity raise to remove June debentures

6May 2016

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OTCQX: FLYLF

Nola Heale, CFO

7May 2016

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Q1 2016 Results

Top 4 highest revenue quarters: Q4 2015: $3.8 million Q1 2016: $2.6 million Q1 2015: $2.57 million Q3 2015: $2.52 million

Loss: Q1 2016: $1,242,942 Q1 2015: $60,414 Q4 2015: $1,203,998

Loss before R&D: Q1 2016: $254,766 Q4 2015: $514,803

8May 2016

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OTCQX: FLYLF

9May 2016

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OTCQX: FLYLF

Operating and Net Finance ExpenseQ1 2016 Q1 2015

$ $

Distribution expenses 1,132,727 763,774

Administration expenses 638,427 551,471

Research, development and certification engineering expenses

988,176 737,285

Results from operating activities (1,009,964) (120,523)

   Finance (income) (10,458) (270,646)

Finance costs 239,690 210,537

Net finance costs (229,232) 60,109

10May 2016

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OTCQX: FLYLF

Assets

March 2016 December 2015

$ $Total assets 5,803,079 5,478,867

Cash 1,163,715 1,551,955Receivables 1,093,273 898,166Inventory 1,163,715 1,551,955

11May 2016

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Working Capital  March 31,

2016March 31,

2015 Variance  $ $ $Cash 1,163,715

1,551,955 (388,240)

Trade and other receivables

1,093,273

898,166

195,107

Deposits and prepaid expenses

277,743

137,861

139,882

Inventory 2,212,847

1,716,313

496,534

Trade payables and accrued liabilities

(3,210,049)

(2,757,707)

(452,342)

Unearned revenue (1,953,012)

(1,087,197)

(865,815)

Loans and borrowings

(5,840,418)

(5,840,418)

-

Finance lease obligations

(27,508)

(27,922) 414

Current tax liabilities

(8,421)

(4,978)

(3,443)

Working capital (6,291,830)

(5,413,927)

(877,903)

Unearned revenue 1,953,012

1,087,197

865,815

Customer deposits 698,561

1,020,675

(322,114)

Modified working capital

(3,640,257)

(3,306,055)

(334,202)

12May 2016

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David Perez, VP Sales & Marketing

13May 2016

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OTCQX: FLYLF

2015 Accomplishments

• 6 new clients and 2 additional through partners

• Signed largest deal in FLYHT’s history

• Responded to OEM RFP for Global Flight Tracking

• Contracted with industry sales experts; Everest Aerospace Group and Innovative Aero to lead sales

• Hired new VP Sales & Marketing

14May 2016

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OTCQX: FLYLF

Plans for Success in 2016

• Contracted with Tri-wing in Singapore to assist with sales in SE Asia region

• Continue to focus on Target market of over 4500 a/c

• Work with aircraft OEM’s to demonstrate value of FLYHT to their customers

• Continue to demonstrate success in China market• Implement new website that highlights FLYHT’s

core competencies and value to market

15May 2016

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OTCQX: FLYLF

Data Services in China Market

•FLYHT has a solid SATCOM only footprint in China

•Work closely with Operations team to convert these customers to higher value data services customers•Demonstrate to China market that AFIRS provides ACARS functionality with additional benefits

•Launch China data client will be delivered in Q2 and will be a showcase for other Chinese airlines

16May 2016

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OTCQX: FLYLF

Moving up the stack to focus on tier 1’s•50% of the total world’s aircraft commercial fleet operate in the Top 20 airlines globally

•Through meetings with tier 1’s, a few key areas have been highlighted for FLYHT to focus on

•Will pursue more strategically with more focus on capturing tier 1 airlines

•Tier 1 market moves slowly (>12mos sales cycle), requiring buy-in from multiple decision makers

17May 2016

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Mat Plamondon, VP Operations & Customer Fulfillment

18May 2016

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Global Customer Base – Direct Sales

Current data users

Note – Chart is representative, not customer specific

19May 2016

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OTCQX: FLYLF

UpTime •Why do our customers use our product?

•FLYHTHealth - Engine trend, exceedance and FOQA reports

•FLYHTFuel - Fuel saving initiatives•FLYHTStream - FDR data streaming•FLYHTLog - Movement messages and position reports

•FLYHTASD - Aircraft Situational Display / flight tracking

•FLYHTMail - Text messaging•FLYHTVoice - Satcom voice

SafetySave $$ RegulationRequirement

20May 2016

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OTCQX: FLYLF

FLYHTHealth - Engine ExceedanceREGISTRATION

REGISTRATION

ICAO ICAO62.589 -98.569

21May 2016

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FLYHTHealth - Airframe ExceedanceREGISTRATION

REG

ICAO ICAO

22May 2016

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OTCQX: FLYLF

FLYHTHealth - Engine Trend Report

Iridium Gateway

FLYHT Network

AFIRS

Third party trend analysis provider

23May 2016

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OTCQX: FLYLF

FLYHTHealth – Real-time FOQA ReportREGISTRATION

ICAO ICAO

REGISTRATION

Flight Operations Quality Assurance

24May 2016

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OTCQX: FLYLF

FLYHTFuel – Dashboard

25May 2016

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OTCQX: FLYLF

Thank you

Questions?